JORR tender to start next Monday

JORR tender to start next Monday

The Jakarta Post, Jakarta

The government said on Wednesday it would start the re-tender
of the long delayed Jakarta Outer Ring Road (JORR) project on
Jan. 21, with five developers expected to bid for the Rp 4
trillion (about US$384 million) worth project.

Minister of Resettlement and Regional Infrastructure Soenarno
said of the five developers three were Malaysians, one an Italian
and another the local PT Jakarta Propertindo (Jakpro).

He said JORR's former investor, PT Citra Marga Nusapala
Persada (CMNP) remains off the bidding participant list.

"FSPC has demanded that none of the old investors are to join
the project," Soenarno told reporters, referring to the Financial
Sector Policy Committee (FSPC) which groups together senior
economic ministers.

The FSPC is in charge of handling major debt restructuring
deal worth more than Rp 1 trillion of the Indonesian Bank
Restructuring Agency (IBRA).

CMNP defaulted on bank loans to develop JORR, which was then
handed over to IBRA in return for the agency taking over the bad
loans.

CMNP, linked to former President Soeharto's eldest daughter
Siti Hardiyanti Rukmana, has since been banned from joining the
project.

Local developer Jakpro is owned by the Jakarta administration.

Based on The Jakarta Post records, the Malaysian bidders were
BRD-Hicom Berhad, Road Builder Holdings Berhad, and Ranhill.